China Investment Fund Performance Persistence Of Empirical Research

The United Kingdom in 1868 established the fist investment funds, funds has 140 years of history. While the fund industry in China started late, but It rapid developed .In China the first closed-end funds set up in March 1998, It has become one of the important institutional investors in China's capital market .With the continuous increaseing , the Fund performance has become the focal point of research. Assessment of Fund performance can be conducive to investment funds in the past in understanding the performance of the fund based on the forecast of the future performance ,to the invest the fund for the provision of reference, and to help to evaluate the investment ability and professional level of fund managers .In this paper, according to China's capital market development, in reference to other scholars on the basis of selection for the sample of 51 funds, including equity, bond type, index type, and other types of hybrid funds are selected in December 2005 to December 2008 for research space.The paper uses parametric test and non-parametric test of two methods, Select appropriate risk-adjusted rate of return-Jensen Index, the sample space of the fund on the basis of three months, six months into the twelve-month period respectively for study , carry out regression analysis and cross-sectional analysis of two-way table method. Performance persistence of securities investment funds don't exist in the short term (3 months) and long-term (12 months), Performance persistence of securities investment funds exist in the medium term (6 months). In addition, China's capital market in such a non-efficient market, the fund achieved better than market returns, the empirical analysis of the results in favor of the continued performance of the fund have a certain significance.The Study of fund performance persistence reveals a certain degree of role in the history of performance whether or not to forecast future performance of fund .The paper studies the the empirical studies of performance persistence to measure the results of model-depth observation of China's securities market and securities investment .The empirical studies of performance persistence have important practical significance for securities investment funds.